Paramount has signed a deal to buy Warner Bros. Discovery for $110 billion.
This deal happened after Netflix walked away from a bidding war for the company.
Netflix on Thursday declined to match Paramount’s latest $31-per-share offer, which offered a $27.75-per-share deal for its studio and streaming assets.
Paramount, which is led by David, the son of billionaire Larry Ellison, has deep political ties to Donald Trump’s administration.
The acquisition means that Paramount will own the Skydance news channels CNN and CBS News.
The deal brings together two of Hollywood’s five legacy studios, potentially reshaping the American film industry.
This implies the addition of movies such as Harry Potter, Superman, and Barbie, along with popular TV series like Succession, to Paramount’s content library.
Paramount’s titles include Top Gun and The Godfather, as well as the Paramount+ streaming service.
David Ellison, Chairman and CEO of Paramount, said, “From the beginning, our pursuit of Warner Bros. Discovery has been guided by a clear purpose: to honour the legacies of two iconic companies while accelerating our vision of building a next-generation media and entertainment company.
“By bringing together these world-class studios, our complementary streaming platforms and the extraordinary talent behind them, we will create even greater value for audiences, partners, and shareholders – and we couldn’t be more excited for what’s next.”
Regulators in California are preparing a vigorous review of the deal.
Both Democrat and Republican politicians in the US have raised concerns that any deal to acquire Warner Bros. could result in higher prices and fewer choices for customers.
